AZ HB2497

Requires all health insurance entities providing coverage to Arizona residents to respond to eligibility inquiry messages or upload coverage information to a centralized database within 24 hours.

Prohibits AHCCCS from paying for services for a member unless it has electronically verified through comprehensive testing that AHCCCS is the primary payer and no other coverage exists.

Imposes $1,000 civil penalty per eligibility message for health plans that knowingly fail or refuse to comply with messaging requirements, with mandatory license revocation by the Department of Insurance on a second violation.

Authorizes the Attorney General to subpoena enrollment data, file federal complaints for administrative sanctions, pursue federal prosecutions, and seek injunctive relief against noncompliant health plans.

Requires AHCCCS to conduct annual audits by July 1 verifying payment primacy by matching member identities against all other health plans' enrollment and file audit results with the Department of Insurance by September 1.